Question: Suppose that the demand function is given by Q = 120-5P and supply function is given as Q = 180 Suppose now that government

Suppose that the demand function is given by Q = 120-5P and supply function is given as Q = 180 Suppose now that government imposes $12 tax per unit of output on sellers. What is the burden on buyer's? $3 $12 $6 $0

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

1. Choose the best answer. My sister loves to sing all the time. She will listen to music and mimic her favorite artists. she wants to try out for a contest

Differentiate the function f ( y ) = ( ( 1 / y ^ 2 ) - ( 5 / y ^ 4 ) ) ( y + 7 y ^ 3 )

You are considering an investment in a no-load mutual fund; the fund charges a 12b-1 fee of 0.5% per year as well as an operating expense ratio of 1% per year. Alternatively, you can invest instead...

An investor bought a 70-strike European put option on an index with six months to expiration.The premium for this option was 1. The investor also wrote an 80-strike European put optionon the same...

A simple pendulum has a length of 0.75 m and a bob with a mass of 0.15 kg. The bob is released from an angle of relative to a vertical reference line (Fig. 5.34). (a) Show that the vertical height of...

Compare the nucleotide-pair sequences of genomic DNA clones and cDNA clones of specific genes of higher plants and animals. What is the most frequent difference that you would observe?

What are some of the benefits of being a critical thinker? (p. 231)

Angus McIndoe wants to modernize his popular restaurant by adapting it more closely to the preferences of his repeat customerskeeping track of his customers likes and dislikes. Information such as...

Riley Beverages manufactures its own soda pop bottles.The bottles are made from polyethylene terephthalate (PET), a lightweight yet strong plastic. Riley uses as much PET recycled resin pellets in...

Js is all about information exchange regarding interests and priorities. is all about attempts to influence the counterpart to make concessions. Texted answer only no photos

Determine the displacements and forces on each node shown below. The units of force, displacement and spring stiffness are lb, in and lb/in, respectively. k=200 k=400 k=100 k=300 wwwwwwwww u=0.1 F=20

D Question 2 33.3 pts What entry modes (discuss in details of your understanding) do hospitality companies use when they expand in the global market place? What are the considerations when they make...

1(x) Given the graphs of f(x) and h(x). 6 5 2 1 0 4 3 h(x) 6 5 4 3 2 1 0 0 2 3 x a) Let g(x) = f(x) h(x). What is the value of g'(2)? b) Let p(x) = f(x)/h(x) What is the value of p'(2)? c) Write out...

A . ( 1 5 p ) A pharmacy dispensing medicines is staffed by one pharmacist open 1 0 hours a day. On average It takes 1 5 0 seconds to serve a customer, and a customer arrives every 4 minutes....

Financial data for Joel de Paris, Incorporated, for last year follow: Joel de Paris, Incorporated Balance Sheet Assets Cash Accounts receivable Inventory Plant and equipment, net Investment in...

Mary bought John's house for $250,000 and paid a $25,000 deposit with the balance of $225,000 to be paid on the closing date. To save money on lawyers, they are standard contract downloaded from the...

Time Travel Publishing was recently organized. The company issued common stock to an attorney who provided legal services worth $25,000 to help organize the corporation. Time Travel also issued...

What constraints are on your life? What has held you back if you ever wanted to change yourselfyour study habits, your weight, your exercise patterns, perhaps something as seemingly simple as how...

Assume that the default probability for a company in a year, conditional on no earlier defaults is and the recovery rate is R. The risk-free interest rate is 5% per annum. Default always occurs...

Suppose that: (a) The yield on a 5-year risk-free bond is 7%. (b) The yield on a 5-year corporate bond issued by company X is 9.5%. (c) A 5-year credit default swap providing insurance against...